Odisha Sun Times Bureau
Bhubaneswar, Nov 9:
The board of directors of Coal India Limited (CIL) has cleared its subsidiary Mahanadi Coalfields Limited’s (MCL) plan to foray into power generation by extending its approval to MCL’s 1,600 MW (800 MW x 2) pithead thermal power project in Odisha’s Sundargarh distict, sources in the CIL said.
The MCL project, proposed to be set up in the Sundergarh district, is the maiden pithead thermal power project of Coal India Ltd (CIL) and could be operational in three years’ time.
The project had seen a significant delay over issues of land acquisition as well ss environment and forest clearances.
Around 800 acres have already been acquired and water linkages are in place. The plant would utilise coal from the company’s Basundhara coal mines, company sources said.
However, nothing is yet clear on the end use of the power to be generated from the two 800 MW units — captive consumption or merchant power.
In the meantime, Mahanadi Coalfields has set a target of 127 million tonnes of coal production in 2014-15, a growth of 15 per cent over the previous fiscal.
CIL accounts for 80 per cent of the domestic production and is the world’s biggest coal producer.